How gift cards work
Published · By Vanilla Balance
A gift card is a prepaid payment instrument loaded with a fixed dollar amount. When the card is purchased, the retailer or issuer activates it and assigns the value to a unique card number. From that point on, the card can be used the same way as a debit or credit card — the balance simply goes down with each purchase.
Activation and value
New cards are inert until activated at the point of sale. Once activated, the dollar amount is associated with the card number in the issuer's system. Until you use the card, the balance equals the amount loaded.
Using the card
To use the card you provide the card number, expiration date, and CVV at checkout — online or at a register. The issuer authorizes the transaction up to the available balance and subtracts the purchase amount.
Checking the balance
You can look up the remaining balance any time by visiting our home page and entering the card number, expiration date, and CVV. The lookup is free, takes seconds, and does not store your details.
Expiration and fees
U.S. federal law (the CARD Act of 2009) generally prohibits gift cards from expiring within five years of activation, and limits inactivity fees. Always read the terms printed on the card or its packaging for specifics.